Buying a property at auction, and need auction finance?
Auction finance is used to raise capital quickly to complete the purchase of a property bought at auction. Once making the winning bid, typically, you have up to 28 days to complete. Auction finance is used to give the borrower more time to source a longer term solution.
At The Finance Company, we are simplifying finance. We provide our clients access to the best deals. We have years of experience so we understand that auction finance is required in a short time frame. We tailor every loan to our clients to ensure you get the most appropriate package within the necessary timeframes.
Why choose The Finance Company?
We’re a brokerage that removes the complicated processes of finding finance making it simple for you. Our team of experts approach every enquiry with the same thoroughness to get you the best deal. We have a large panel of lenders who range from high street banks to specialist finance lenders with whom we have relationships to get you the solutions to your finance needs.
What is auction finance?
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1A short term, fast and flexible finance solution
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2Loans from one to 24 months
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3Bridge the gap between purchasing property and sourcing long term solutions
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4Available for auction property purchases
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5A type of bridging loan
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6Residential and commercial property finance
Frequently asked questions:
Auction finance is a type of bridging loan. It is used as a short term solution to give the buyer time to find a longer term financial solution. Those buying at auctions need 10% of the purchase price as a deposit and then typically have 28 days to pay the remainder. Auction finance is quick to arrange and can complete within the required timeframe.
Auction finance works similar to bridging loans, where the property is used as security. This means the property will be repossed should you not repay the loan on time. When looking for auction finance you should also know what your exit strategy is. The exit means how you will repay the loan. Lenders will be looking to see that you have evidence of how you plan to repay the loan, whether it is getting a mortgage, selling an asset or releasing capital from somewhere else.
Bridging loans are for clients who need quick, short-term capital to fund a property project. This includes those who:
- Bridging the gap between purchase and sale
- Chain breaks
- Deals that need to be completed quickly
- Property investment
- Undervalue transactions
- Uninhabitable property
- Contract reassignments
- Business purposes
- Refurbishment and build projects
- Scheduled drawdown advances
- Land with planning
- Adverse credit
- Downsizing
- Quick completions
- Lease extension
By using The Finance Company we can be the auction finance broker you need. We have a panel of lenders who are flexible with their lending requirements and we are committed to getting you the best overall deal.
A broker acts as the middleman between the borrower and the lender to facilitate a transaction. With the expertise of the broker, they are able to discuss, negotiate and source the best deal for the borrower. The Finance Company is simplifying finance.
Auction finance can be used for most properties including:
- Residential
- Commercial
- Mixed use
- HMOs
- Land with or without planning
Contact us
Talk to a member of the team now.
Simply get in touch using the details below.
Or, complete our quick online enquiry form to receive a callback.
Phone: 0800 031 8829
Email: [email protected]